Discovering Key Factors in ERP Implementation through Success and Failure Cases

2012 ◽  
Vol 3 (3) ◽  
pp. 27-36
Author(s):  
Selcuk Kiran

In the last two decades, ERP Systems became vital in the organizations. It is not enough to find out the appropriate ERP system for the company, to resolve the problems completely. The success of an ERP system is dependent on the performance of the ERP installation project. In this paper, at the beginning the definition of the ERP systems is given briefly and then the structure of a successful and effectively working ERP system is analyzed in the light of a case from the business world. At the end, the critical success factors of an ERP installation project are identified and examined with the help of three distinct ERP cases with different outcomes.

Author(s):  
Kalinga Jagoda ◽  
Premaratne Samaranayake

Purpose The purpose of this paper is to propose an alternative integrated approach based on the stage-gate method to implement enterprise resource planning (ERP) systems which will enhance the effectiveness of ERP projects. Design/methodology/approach A literature review was conducted on ERP system implementation and its effectiveness. The need for improving implementation approaches and methodologies was examined. Based on the insights gained, a conceptual framework for ERP system implementation is presented by combining the state-gate approach with the pre-implementation roadmap. Findings The proposed framework aims to enhance the overall ERP implementation outcomes, ensuring critical success factors and eliminating common causes of failures. A pre-implementation roadmap is identified as a key element for eliminating many causes of failure including lack of organisations’ readiness for ERP. The post-implementation stage can be used for further improvements to the system through internal research and development. Research limitations/implications The development of the framework is an attempt to contribute to improving ERP implementation. This research is expected to motivate researchers to work in this area, and it will be beneficial to practicing managers in the identification of opportunities for improvements in ERP systems. Case studies will be valuable to refine and validate the proposed model. Originality/value This paper explores research in a needy area and offers a framework to help researchers and practitioners in improving ERP implementation. This framework is expected to reduce the implementation project duration, strengthen critical success factors and minimise common problems of ERP implementation projects.


2011 ◽  
Vol 7 (1) ◽  
pp. 56-71 ◽  
Author(s):  
Mohamed A. Nour ◽  
Samar Mouakket

Although organizations can gain many benefits from successful implementation of an enterprise resource planning (ERP) system, there are high failure rates in ERP implementation projects. Therefore, a better understanding of ERP implementation success is a critical. One of the best known approaches used to define and measure ERP implementation success has been the critical success factors (CSF) approach. In this study, the authors investigate the current literature of critical success factors (CSFs) of ERP systems implementation and propose a new classification framework, categorized according to six proposed fundamental stakeholders. The authors then map those critical success factors to three different stages of an ERP project lifecycle. In addition, they identify several roles that each stakeholder may play during the ERP systems project lifecycle. The proposed classification framework provides organizations with a classification tool to help them identify the CSFs and those stakeholders who are most likely to have an impact on the implementation of the ERP system, which will help organizations to better plan for the implementation of their ERP systems.


Author(s):  
Mohamed A. Nour ◽  
Samar Mouakket

Although organizations can gain many benefits from successful implementation of an enterprise resource planning (ERP) system, there are high failure rates in ERP implementation projects. Therefore, a better understanding of ERP implementation success is a critical. One of the best known approaches used to define and measure ERP implementation success has been the critical success factors (CSF) approach. In this study, the authors investigate the current literature of critical success factors (CSFs) of ERP systems implementation and propose a new classification framework, categorized according to six proposed fundamental stakeholders. The authors then map those critical success factors to three different stages of an ERP project lifecycle. In addition, they identify several roles that each stakeholder may play during the ERP systems project lifecycle. The proposed classification framework provides organizations with a classification tool to help them identify the CSFs and those stakeholders who are most likely to have an impact on the implementation of the ERP system, which will help organizations to better plan for the implementation of their ERP systems.


Enterprise Resource Planning (ERP) systems are pervasive information systems that have been fundamental in organisations for the past two decades. ERP systems may well count as the most important development in technology in the 1990s. There are many ERP success stories; equally there are as many failure stories. However, organisations encounter obstacles when implementing ERP systems. This chapter intends to explore some of the problems that occur throughout the implementation of an ERP system.Through the exploration of the literature a framework is constructed considering human, organisational and technical considerations adjoined with critical success factors when implementing ERP. Drawing on empirical evidences from a UK SME, this study then discusses and analyses each problem identified in the framework and its affect on the implementation of their ERP system. The findings of this chapter suggests the fundamental challenge of ERP implementation is not technology but organisational and human problems, which, if not fully understood and addressed, can lead to ERP failure. Finally, this chapter considers the critical success factors that resulted in the failure of the ERP at the case company in the chartering phase of the implementation.It is hoped this chapter will assist in understanding that human, organisational and technical considerations adjoined with critical success factors will encourage practitioners to address these problems and increase their chance of success during ERP implementation.


2019 ◽  
Vol 2 (2) ◽  
pp. 1-35
Author(s):  
Muhammad Yousaf Jamil ◽  
Rafia Qayyum

ERP systems are the backbone of global supply chain, while their success and failure determines the fate of the business. With enormous competition and ever increasing challenges in boundless trading, the IT linkages and E-Business involve extensive customization. There are many researches on the implementation facilitators and barriers in all types of organizations throughout the world but limited literature can be found in work specific to Pakistan. This study brings out the critical factors that drive a successful ERP system in Pakistan and also discusses the pitfalls to be avoided in order to prevent a disaster. Through this study, the critical success factors and the main challenges for implementation of ERP in Pakistani organizations have been recognized. In this way, suggested to localize for ERP implementation in Pakistani organizations.


2019 ◽  
Vol 11 (23) ◽  
pp. 6785 ◽  
Author(s):  
Huang ◽  
Chiu ◽  
Chao ◽  
Arniati

More and more companies are significantly introducing enterprise resource planning (ERP) systems to secure enterprise resources for effective distribution and provide accurate data for sustainable development in enterprise. Recently, Type B laboratory has promoted the utilization of the corporation’s own sustainable developments of the business model philosophy to affect the society and to solve social and environmental issues. The form of organizations arising from this certification process is referred to as the B Corporation, and this represents the implementation and commitment to sustainable development. Thus, decision-makers of B Corporation who can utilize ERP system tools well can coordinate sustainable activities better. There is not enough literature at this stage to provide the key success factors of implementing the ERP system for the B Corporation in Taiwan. This study extensively reviews the literature and conducts a modified Delphi expert questionnaire survey to elucidate the critical success factors of B Corporations’ implementation of ERP systems. The research results can assist the sustainable value of B Corporation and contribute to the current literature of improving critical success factors. The limitation of this study is that it only represents the perspective of B Corporation in Taiwan. Second, this study is unable to encompass all key success factors (CSFs) pertaining to ERP systems.


2015 ◽  
Vol 8 (1) ◽  
pp. 36
Author(s):  
Wahyu Agus Winarno

Enterprise Resource Planning (ERP) are information systems that destined for firm manufacturing and also service that gets role to integrate and automates business process that is engaged operation aspect, production, and distribution at firm. ERP systems is a packaged business software system that enables a company to manage the efficient and effective use of resources and providing a total integrated solution for the organization's information-processing needs. But, ERP systems success own is not easily to be reached, because ERP software is not something that while is assembled/ implementation gets to walk success by itself. In this article tries to identify critical success factors (CSFs) ERP implementation. There are 14 CSFs and 10 failure factors that shall be regarded in the ERP Implementation. Keywords: ERP; ERP Implementation; critical success factors.


2021 ◽  
Vol 6 (1) ◽  
pp. 47
Author(s):  
Fasti Herianty Akhzan ◽  
Grace T Pontoh ◽  
Arifuddin Arifuddin

<p><em>Many researchers have investigated the critical success factors in ERP system implementation. The previous study has examined four primary human critical success factors (competence, behavior, team composition, and communication) and based on study literature performed by the author, there were many studies found that top management support also has crucial role in ERP implementation. The objective of this study is to examine the impact of top management support, competence, behavior, team composition, and communication in ERP implementation.</em><em>This study was conducted in three stages. First, review sources and scientific literature relevant to this research. Second, analyze the findings and recommendations of previous research to determine the component of variable x. Third, conduct research using a quantitative approach through a questionnaire survey. </em><em>Questionnaires were distributed to employees from various company that involved directly in ERP implementation. </em><em>This study found that all five variables positively correlated to project success and only team composition variable that significantly positively correlated to project success. This study offers ERP project managers the crucial factors needed to be concerned for the project success.</em></p><p><strong><em>Keywords: </em></strong><em>ERP, Human Critical Success Factors.</em></p><p><em><br /></em></p>


Organizacija ◽  
2016 ◽  
Vol 49 (3) ◽  
pp. 145-160
Author(s):  
Aleksander Jenko ◽  
Matjaž Roblek

Abstract Background and Purpose: Many researchers have investigated various Critical success factors (CSFs) and the different causes of ERP implementation project failures. Despite a detailed literature preview, we were unable to find an appropriate research with a comprehensive overview of the true causes behind CSFs, observed from a human factors perspective. The objective of this research was therefore to develop and evaluate the Primary human factors (PHFs) model and to confirm the significant impact of PHFs on traditional CSFs and on the project success. Design/Methodology/Approach: The comprehensive PHFs research model was developed and examined in empirical quantitative research with the use of available literature and the application of the Root cause analysis. A survey was conducted in various Slovenian organisations in different branches that had previously implemented the ERP system SAP. The model was verified on a sample of 21 experts from 18 organisations. Results: The results show that the PHFs have a significant positive impact on the ERP implementation project success, but only the Competence and Team composition factors are significant linear predictors in an adapted regression model and contribute significantly in predicting project success. These results therefore confirm both proposed hypotheses and the adapted regression model. Conclusion: This study improves the understanding of PHFs and confirms that they have a significant impact on traditional CSFs and the ERP implementation project success. The proposed PHFs model offers project managers and other stakeholders an effective risk assessment of CSFs and is leading the way to human oriented model of ERP implementations.


2017 ◽  
Author(s):  
◽  
Robyn Cindy Thompson

The assignment of identifying Critical Success Factors (CSFs) for the successful implementation of the Enterprise Resource Planning (ERP) systems has become an important problem in the information system (IS) research. The necessity to identify CSFs becomes perceptible because of the failure often associated with the ERP system implementation in corporate organisations. The investigation and identification of CSFs will help cut costs of implementing ERP systems in organisations by giving higher precedence to the most critical factors. Literature has indicated that some factors of ERP system implementation labelled as critical are, in most cases, not critical for achieving success in the ERP system implementation. It can be argued that the inherent prediction error in the identification of CSFs is associated with the method employed for identifying criticality. Certain researchers have asserted that many of the studies on CSFs have based their findings on the use of content analysis method to identify and classify implementation factors of ERP systems as critical or not, rather than empirical findings. This intrinsic drawback has led researchers to suggest the use of sound scientific methods such as the structural equation modelling technique to identify CSFs to help guide the implementation of ERP systems in organizations. However, because of the limitations of the existing findings, the expectation is still much higher in effectively resolving the problem of identifying CSFs, in general. The overarching aim of this study was to determine those factors that are deemed critical for the successful implementation of the on-line registration system as an archetype of ERP system at HEIs. It was necessary to, firstly, identify common factors that have a significant impact on ERP system implementation and, secondly, to ascertain whether the identified factors are applicable in HEI settings, particularly to the on-line registration system. This study plans an in-depth exploration of the implementation of an on-line registration system with the identified factors forming the precursor to unearth those factors that are critical for the success of implementing on-line registration systems. The study has adopted a post-positivism mixed methods approach to identify and verify CSFs of the on-line registration system implementation, taking into consideration higher-order relationships between the factors. Data gathering took place using expert judgement with the involvement of role players in the implementation of on-line registration systems. The ADVIAN classification method provides the analytic tool for identifying factors that are deemed critical for successful implementation of on-line registration systems. The results reveal the existence of various dimensions of criticality with organisational culture and ERP strategy and implementation methodology emerging as critical factors, while the driving factors for implementation include ERP vendor support and guidance, senior and top management support, project plan with agreed objectives and goals, project management to implement project plan and project leader. It is established that the driven factors that should be observed when intervention measures are implemented include change management, post-implementation evaluation, software testing and troubleshooting, user training and user involvement. It is hoped that the CSFs discovered in this study will contribute towards the under-researched area of ERP and pragmatically aid the improvement of a process area that is in desperate need of business process re-engineering at HEIs.


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